regulations (which led to a deep decline in the money multiplier). However, there are numerous signs in both the real and …

The long-run relationship between money and prices in the euro area embedded in traditional money demand models with … income and interest rates broke down after 2001. We develop a money demand model where investors hold a diversified portfolio … with money, domestic and foreign stocks and long-term bonds in which, in addition to the classical wealth effect, also a …

overall monetary policy strategy. In this respect, money demandmodels provide a framework for explaining monetary developments … are at the zero lower bound, the analysis of money stocks become even more importantfor monetary policy. Therefore, this … money balances, income, the long term interest rate and the own rate of M3holdings. The specification appears to be robust …

This paper examines the relation between money and housing variables in the euro area and in the US. Our empirical … model is based on a standard money demand relation which is augmented by housing market variables. In doing so, co …-integrated money demand relationships can be established for both the euro area and the US. Furthermore, we find evidence for asset …

We revisit the usefulness of long-run money demand equations for the European Central Bank. We first conduct a model … time-invariant specification for money demand which allows us (i ) to build a leading indicator of stock market busts and … stability. -- money demand ; time-varying cointegration ; price-earnings ratios ; unemployment rate ; monetary policy …

We employ a recent time-varying cointegration test to revisit the usefulness of long-run money demand equations for the … twofold contribution. First, we propose a novel stable money demand equation relying on two crucial factors: a speculative …

This paper examines the relation between money and housing variables in the euro area and in the US. Our empirical … model is based on a standard money demand relation which is augmented by housing market variables. In doing so, co …-integrated money demand relationships can be established for both the euro area and the US. Furthermore, we find evidence for asset …